Trade Between Japan and China:Dramatic Expansion and Structural Changes

Hitoshi Sasaki and Yuko Koga
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Hitoshi Sasaki: Bank of Japan
Yuko Koga: Bank of Japan

Bank of Japan Review Series from Bank of Japan

Abstract: Japan's trade with China, both in exports and imports, has been growing overwhelmingly over the past few years. In 2002 in particular, Japanese exports to China marked their highest growth of the past decade, sustained by strong domestic demand there and also by the effects of China's accession to the World Trade Organization (WTO) at the end of 2001. As a result, in terms of changes in trade share by country/region during the past five years, China increased its share from 5 percent to 10 percent in exports and from 12 percent to 18 percent in imports. Particularly, as for imports by country, China is now Japan's largest trading partner, as imports from China exceeded those from the United States in 2002. This brief report summarizes the developments and background of this dramatic expansion in trade between Japan and China.

Date: 2003-08
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